"I've launched this process because with time of the essence, we need to get on with negotiating the bigger issues around our future partnership to ensure we get a deal that delivers a strong UK and a strong EU," said Brexit secretary David Davis.

"It's what businesses across Europe have called on both sides to do and will demonstrate that the UK is ready for the job."

It is thought the government will offer freedom of movement to Irish citizens and will say Britain will track goods moved across the Irish border with CCTV cameras and automated number-plate technology. Avoiding the erection of a hard border between Ireland and Northern Ireland has been one of the top priorities for both the UK and the EU.

Trade secretary Liam Fox and chancellor Philip Hammond, once thought to be at odds over the issue, wrote in a joint article for the Sunday Telegraph that a transition period was required to help businesses adjust to post-Brexit changes.

However, they emphasised that the transition period would not be a "back door" to staying in the EU.